This paper aims to investigate the current broadband situation in Swedish market, in particularwhether the mobile broadband (MBB) is a complementary or substitute service to fixed broadband(FBB) by using multinomial logit model. The data is collected from the Post- och telestyrelsen (PTS)survey in 2009 together with a secondary data on price of broadband service for each serviceproviders. The findings indicate that price and type of housing are the major determinant forbroadband connections. In addition, the living area and service provider affect the probability of usingbroadband. Considering the own price elasticities, cable is more inelastic compared to DSL,LAN/Fiber and MBB while the cross price elasticities show that MBB is complementary service toFBB in Sweden at this stage. However, the cross price elasticities of FBBs and MBB report that thereis high possibility that MBB could be substitution service to FBB in the near future.
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